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Classic Car Insurance Explained

Are you looking into insurance for your classic car? It’s a bit more involved than insuring your everyday vehicle; however, you may be pleasantly surprised by the cost of the premiums and how you can tailor the policy. Here’s the Ecurie137 guide to classic car insurance.

What Cars Are Covered By Classic Car Insurance?

For insurance purposes, a classic car is all or most of the following:

  • Over 15 years old
  • Used as a second car, not as your main vehicle
  • Doesn’t exceed 5,000 miles a year
  • Is in excellent condition (so you can’t just bang that rusty old runaround on your policy)

All insurance providers vary in how much weighting they give to these criteria. Shop around, and see which company offers the best deal for your particular motor.

If you’re under 25, you can still get insurance for most classic cars. Indeed, it may be cheaper than for a conventional vehicle. Again, see which provider offers you the best cover.

Classic Ferrari in storage at Ecurie

What If My Classic Car Is My Main Car?

Unless you’re a TV detective, it’s unlikely that you drive to work in your beloved classic car. However, if your classic car is your main car, your insurance policy will need to reflect this. Your insurance will be more expensive, as more driving equals greater risk.

Is Classic Car Insurance Expensive?

Good news: classic car insurance is often less expensive than standard car insurance. Why is classic car insurance cheaper? You and your motor are seen as “lower risk”. A classic owner is more likely to take care of their motor, and being a member of a classic car association or club can reduce premiums even further.

The car itself, being older, drives at lower speeds therefore is seen as less of a risk. Classic cars also tend to be second rather than main cars, and this attracts lower premiums, too. You may need to commit to an annual mileage; however, in most cases, this is pretty low, which also helps to keep the costs down.

Another benefit? Your pride-and-joy is more likely to be kept in a safe place, such as in a locked garage or in a secure classic car storage facility like Ecurie137. Again, this can keep insurance costs down.

What Is “Agreed Value Cover”?

If your, say, Ford Focus is written off in an accident, it’s pretty easy for the insurer to work out the payout. This is a bit different when it comes to your unusual motor, especially if it's been restored or modified.

To solve this tricky issue, when you take out classic car insurance, you and the insurer agree on the car’s value, giving you a fixed payout (minus excess) should the worst happen.

Do Annual Premiums Rise For Classic Cars?

Broadly speaking, you won’t see the same annual increase that you do for your everyday motor. As with standard car insurance, it’s always worth shopping around when the annual renewal date approaches; however, you’re unlikely to see a sharp increase with a classic vehicle.

Do I Get A No Claims Discount For A Classic Car?

The No Claims discount doesn’t always apply to classic cars, because they’re usually second cars. However, proof of your No Claims from your standard insurance will stand you in good stead, as it helps demonstrate what a responsible driver you are…

Do I Have To Insure My Car If It’s In Classic Car Storage?

The answer to this is, usually. Some insurance companies will allow you to pause your policy if your car is declared SORN and kept off-road. Others don’t always insure your car if it’s kept off your property in a storage facility, while some offer what’s called “laid-up” cover. So, we’re sorry to say this again, but you’ll need to check this with the individual insurance providers.

What Additional Insurance Policies Are There For Classic Cars?

What about when you want to enjoy your classic car on the open road? Because of the bespoke nature of most classic car insurance policies, you can usually add on extra cover. This can include:

Track Days

Make sure you’re covered specifically for track days (accidents and dents do happen). How will this affect your premiums? That depends on how many track days you’re planning.

Vintage Car Rallies & Shows

We can’t resist the chance to show off our cars! If you take it to a rally or show, get cover against accidents and dings, and also make sure you have public liability.

Restoration Cover

Is your car still at the initial project stage? Many classic car insurers will cover you during the restoration period.

Breakdown cover

If you’re travelling to shows and track days under your own steam, make sure you have proper breakdown cover. This can be included as part of an insurance package.

Planning on loaning your classic car to a friend or relative for an event like a wedding or prom? Firstly, you’re an excellent friend. Secondly, speak with your insurer about this specific occasion and seek advice.

Classic cars in storage at Ecurie

How Do I Insure A Classic Car With Modifications?

As all proper petrolheads know, a true classic car should be in as close to factory condition as possible. However, in the motor insurance world, even a respray counts as a “modification”.

At some point, you may have had to carry out some work to the engine or chassis to keep the vehicle roadworthy (or added a modern stereo). Each “modification” can add an extra 10-15% onto your premium. Speak with your potential insurance company to find out their policy (some are more lenient with modifications than others) and get a bespoke quote.

Which Companies Offer Classic Car Insurance?

We’re not qualified to give insurance advice at Ecurie137 so we can’t make any recommendations. What we can do is give you a list of some of the companies that we know offer classic car and/or modification policies.

You can also search via the usual websites like Go Compare and Money Supermarket.

Secure Classic Car Storage With Ecurie137

As well as insurance, one of the best ways to care for your classic car is to keep it in a safe place. Have a chat with us at Ecurie137 to discuss your classic car storage needs.

Posted under Guides Fri, 4th Nov 2022

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